There are many benefits in having a competition on social media. Users love a challenge, and it breaks the monotony of asking for their support. The prize winners will be more likely to mention your business to others on their page.
The offer of free merchandise encourages people to advertise or promote you in order to receive it. Other users are more willing to pay attention if they see something from a friend. Providing something free allows users to create a positive association with your brand. You can offer users free items in return for them promoting your brand.
In competitions, be sure to include rules and have a fair system to ensure that all participants are in an equal draw to win.
Depending on the nature of the competition you may need a permit to run your competition legally. Check your state’s ‘Trade Promotion’ laws to determine whether you require a permit for your competition before you set it in motion.
Case Study: Arts Sector – Helen Perris
Singer, song writer, and music teacher Helen Perris found a “competition on my Facebook page with a T-shirt giveaway as prizes” very effective. She also offered a Christmas single that was “a free download on bandcamp” as a successful promotion; “a lot of people downloaded it and that was a way of getting their contact details as well”.